Has Anyone Done a Payment Plan with the CC Company?

**Frizzysky** · 11-16-2011, 06:13 PM

We have two Chase Visa credit cards. One is at about 9% and has a balance around $2,000.00.

The second is at a 27% (I know, I know) and it has about $5,000.00 owing on it.

I talked with our bank (we bank with Chase) to see if we could get a lower rate on the big one. The bank lady called their cc branch and they said no to a lower rate and said the account could be reviewed again in Jan. The bank lady then called the head office for the credit card unit and I ended up talking to a woman about setting up a payment plan.

From her information:

They will establish a fixed monthly payment and I believe a fixed rate the schedule is to have it paid in 5 years.
When the accounts (she encouraged we combine these two cards into one payment) will be closed when paid off (that's fine we were going to close them anyway).
They won't report this to the credit bureau (which is good, although I am looking to get rid of cc forever and to have a zero fico score

)
There is no penalty for paying it off before the 5 years.

The woman I spoke to will get back with me tomorrow or Friday to lay out all the terms.

That 5 year thing is bothering me though. Right now on the big one, per the statement on this credit care, if we pay about $200 a month until it's paid, we will have it paid off in 3 years.

What else should I be asking them?

**khaski** · 11-16-2011, 06:41 PM

You know what Dave says....they're lying if their mouths are moving. I would not agree to ANY changes til they put it in writing for you. I have a chase cc myself, let me tell you about their 'reviews'- they're FAKE. They almost DOUBLED my interest rate 'just because' a few years ago, my credit score had not changed nor was I late on a payment. I called month after month, trying to get it brought down at least some- no go. Til last Jan. the nice rep. told me 'It'll be reveiwed next month, if you're still making your payments on time as you always have been it will go down'. We discussed this a few more minutes, I wanted to re-iterate I heard him correctly, gee, was I happy! Until the next few bills came in with NO rate reduction- when I called, and emailed, they DENIED anyone ever said that to me.Indeed they did...but chase wouldn't admit to it or honor what they told me.

Well, Dave does warn- play with snakes, you'll get bit.....he's right!

Chase, and the vast majority of their greedy friends, will LIE through their teeth to you, intentionally.Be sure to check into that fixed rate thing and get ALL terms, in writing from them, before committing to a change- other wise you may wake up one day to find you 'agreed' to transfer it all to the 27% rate! Low, yes.....CC companies tatcis to sap every penny out of you? As low as it gtakes, for them.

**mh3rdwheel** · 11-16-2011, 07:54 PM

Originally Posted by Frizzysky

We have two Chase Visa credit cards. One is at about 9% and has a balance around $2,000.00.

The second is at a 27% (I know, I know) and it has about $5,000.00 owing on it.

I talked with our bank (we bank with Chase) to see if we could get a lower rate on the big one. The bank lady called their cc branch and they said no to a lower rate and said the account could be reviewed again in Jan. The bank lady then called the head office for the credit card unit and I ended up talking to a woman about setting up a payment plan.

From her information:

They will establish a fixed monthly payment and I believe a fixed rate the schedule is to have it paid in 5 years.
When the accounts (she encouraged we combine these two cards into one payment) will be closed when paid off (that's fine we were going to close them anyway).
They won't report this to the credit bureau (which is good, although I am looking to get rid of cc forever and to have a zero fico score

)
There is no penalty for paying it off before the 5 years.

The woman I spoke to will get back with me tomorrow or Friday to lay out all the terms.

That 5 year thing is bothering me though. Right now on the big one, per the statement on this credit care, if we pay about $200 a month until it's paid, we will have it paid off in 3 years.

What else should I be asking them?

I deal with Chase, when I call them they tell me one thing then when you think it is taken care of you find out it is not. When dealing with chase always go to the branch where you opened the account. (chase will not let me change anything with my account unless I go to the branch I went to when I opened the account)
Get it in writing from the head of the bank branch, otherwise it didn/t happen.

**Frizzysky** · 11-17-2011, 06:00 AM

Originally Posted by khaski

Chase, and the vast majority of their greedy friends, will LIE through their teeth to you, intentionally.Be sure to check into that fixed rate thing and get ALL terms, in writing from them, before committing to a change- other wise you may wake up one day to find you 'agreed' to transfer it all to the 27% rate! Low, yes.....CC companies tatcis to sap every penny out of you? As low as it gtakes, for them.

Yeah, I don't have a good feeling about this (and you know what Dave says about women and their feelings....run for the hills!)

I think this will all be done by phone. When she calls back I will ask for it in writing before I agree. We'll see what she says.

Anyone else??

**TigerGirl1226** · 11-17-2011, 08:50 AM

I am in a payment agreement with a Chase card actually. Due to paying late and other stuff, our interest rate was really high like yours. They put ours into a "balance reduction plan". They dropped our interest to 14.99% (still high, but lower than it was) and they draft $60 payments from our account. I know many people here don't agree with letting them draft, but it works for me and I haven't had any trouble. As you can see from my signature my balance is going down. Also, I am able to make any additional payments if I choose to get it paid off sooner.

**Russ** · 11-17-2011, 09:01 AM

Could you please post the minimum payments required for each card?

How much can you afford to pay?

**Frizzysky** · 11-17-2011, 10:30 AM

Minimum on the little card is about $30.00 and we've been sending $150.00.

The big one's minimum is about $150.00 and that's exactly what we send since we're only snowballing one debt at a time.

**Russ** · 11-17-2011, 10:50 AM

It will take about 15 months to pay off the small one at that rate.

After that, assuming you add that $150 to the $150 you are already paying on the big one, it will take you another 18 months to pay that off.

So if all my math is correct and nothing changes that's a total of 33 months.

**Greebo** · 11-17-2011, 12:46 PM

Russ: w/o knowing the base payment percent (the percent of principal included w/ each month's payment above the interest due) it's impossible to be sure of the exact timeline.

**Russ** · 11-17-2011, 12:51 PM

Yeah, I sort of guessed based on her minimums. Interest +1% of balance.

**Greebo** · 11-17-2011, 12:53 PM

I missed that she gave minimums. $2000*9%/12 = $15 and min of $30 means $15 to prin and that's 0.75% to prin (15/2000*100)

**Josephhgoins** · 11-17-2011, 02:23 PM

I have used a credit couseling company before (Novedebt) and it worked out well for me. You may want to try them. They will charge you a monthly fee but it will be far less than you are losing with the 29.99% interest.

Basically, they get your interest down (one of mine was put down to 2.9%) and set up a payment plan.

Becareful if you try one though, I foudn Novedebt through my Credit Card company and was in their program for about 4 years. It was fairly painless and now that mountain of CC debt is gone.

If only I had no car payment now.....

**lparker** · 11-17-2011, 04:28 PM

There is NO guarantee that, when you go to Credit Counseling , your interest rate will go down. I'd say to hang tough, throw all you can to the smaller card, then snowball the larger one.

**ladytoysdream** · 11-17-2011, 05:57 PM

Originally Posted by lparker

There is NO guarantee that, when you go to Credit Counseling , your interest rate will go down.
I'd say to hang tough, throw all you can to the smaller card, then snowball the larger one.

Spot on.

Get the smaller one paid off...then snowball for the big one.

DO NOT COMBINE THEM.

**Frizzysky** · 11-18-2011, 06:35 AM

You know I didn't give you the right total on the small card. It's only about 1250.00 right now.

I think we're going to pay the little one off (I think we can send $200 or $250.00 a month instead of the $150.00. That's if DH's counseling continues at the rate it is now). For sure we can keep sending the $150.00 but I would like to be done with it asap.

Thanks for the replies. The CC lady left me a voice mail yesterday so I'll be calling her today.

Anyone else??? (TIA!!)